(Part-2) Biden will speed his new proposal to eliminate student loans in February.

Americans who attended community colleges—which typically cost less than four-year universities—will be especially helped by next month's reprieve, according to the Biden administration.

 Aiming to put students attending community colleges "on a faster track to debt forgiveness than ever before," Education Secretary Miguel Cardona stated that this plan's goals are.

Ironically, people who have lesser sums owed on their college loans are more likely to have difficulties. Millions of Americans take out school loans but never pay them back, trapping themselves in a cycle of mounting debt and missing out on potential wage increases.

The new repayment scheme has been met with fierce opposition from Republicans who believe it unfairly benefits wealthy Americans with college degrees while leaving taxpayers without a degree to shoulder the financial burden. Some see it as a veiled effort to implement Biden's failed campaign promise to make community college free.

For qualified borrowers participating in the SAVE program, the Education Department has announced that beginning next month, any remaining amounts will be immediately erased. Borrowers who may qualify but have not yet registered will get an email from the relevant department.

Last summer, the plan went into effect in part because it makes more Americans eligible to have their monthly charge reduced to zero and it keeps interest from snowballing as long as borrowers make monthly payments.

Parts 2 and 3 are set to go live in July. One modification is a reduction from 10% in income-driven repayment programs to 5% of discretionary income for debtors.

A different strategy for extensive cancelation is being pursued independently by the Biden administration. Following the rejection of Biden's initial proposal by the Supreme Court, he requested that the Education Department do it again using a new legal mechanism. A fresh plan to help some categories of debtors has been in the works at the department.

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